On Friday, December 16th the Croatian Parliament passed the Act on Restriction of Undeclared Work (the "Act"), which applies from January 1st, 2023.
What is undeclared work?
Undeclared work (in a narrow sense) is:
Undeclared work (in a broader sense) is:
Records and lists
The Act provides for the establishment of two records:
All employers (including digital work platforms) are obliged to submit data to the Unique electronic work record.
The Act also provides for keeping two lists:
Liability for subcontractors
The contractor is jointly liable for the obligations that his subcontractor as an employer has towards his employee, for claims on behalf of due and unpaid salaries for work performed or services provided, to which the employee is entitled.